How many properties per entity

[Jacob Phillips]

Hey BP!

I’m just starting out and really just asking lots of questions.

Today I wanna ask about entities. From my understanding, LLCs tend to be the favorite. Can you receive any income at all from an LLC? I've heard lots of different viewpoints on this topic, but my goal is to target small MF rentals for buy and hold, and probably some SF buy and hold.

I've heard to put no more than a couple properties into any one LLC, and then have a holding LLC which holds all those properties' LLCs. Does anyone contest that? Is there a right time to convert to that or do you start day 1 with that mentality to protect all your assets? But I've also heard BP guests who seem to have all their assets in one LLC.

So if I go get four duplexes in the next 2 years, do you have an LLC for each? For two? One that holds all four?

At point is it overkill and at one point is it absolutely necessary to do everything possible to protect your assets?

I appreciate the input on this and any other advice!

Jacob

[Jeremy Marek]

@Jacob Phillips , We only hold commercial multi family (5+ unit) buildings and each building is in it's own series LLC. A better question is to ask how much money do you want at risk if there were to be a lawsuit. If you decide your threshold is a half a million, keep adding properties to that LLC until you reach that value of properties held